Mothers with special needs children are eligible to retire five years before the normal retirement age. Turkey Gainful employment must cease on retirement. In certain Exchange rate: US$1.00 = 1.78 liras. cases, employment may be permitted while receiving an old-age pension, provided the pensioner pays a support contribution of 30% of earnings. Old Age, Disability, and Survivors The pension may be deferred. There is no age limit. Old-age settlement: Age 60 (men) or age 58 (women); Regulatory Framework age 50 (men and women) if prematurely aged and not eligible for an old-age or disability pension. The retirement First laws: 1949 (old age) and 1957 (old age, disability, and age will rise gradually to age 65 (men and women) by 2046 survivors). (men) and 2048 (women). Current laws: 1964 (social insurance), implemented in The old-age pension and the old-age settlement may be 1965; 1983 (agricultural employee social insurance), imple- partially payable abroad under reciprocal agreement. mented in 1984; 2006 (social security institution); 2006 (social security and general health insurance), implemented Disability pension: Must have a loss of at least 60% of in 2007 and 2008; and 2008 (social security). working capacity with at least 1,800 days of contributions and at least 10 years of coverage. The requirement for the Type of program: Social insurance system. years of coverage is waived for insured persons requiring Note: In May 2006, the separate systems for public and constant attendance. private-sector employees and the self-employed were The disability pension may be partially payable abroad merged into one under the newly created Social Security under reciprocal agreement. Institution. Survivor pension: The deceased met the contribution Coverage requirements for a disability pension or an old-age pension, was a pensioner at the time of death, or was insured for Employees (including foreign nationals) aged 18 or older at least five years and had paid contributions for a total of working under a service contract in the public or private 900 days (1,800 days for civil servants and self-employed sector, including civil servants and self-employed persons. persons). Source of Funds Eligible dependents include a spouse; children younger than age 18 (age 20 if a pre-university student, age 25 if a uni- Insured person: 9% of monthly earnings, up to a versity student); a son aged 18 or older who is disabled and maximum. unemployed; an unmarried, widowed, or divorced daughter Self-employed person: 20% of monthly declared earn- of any age who is not in insured employment or receiving ings, up to a maximum. any social security benefits in her own right; and dependent parents. Employer: 11% of employees’ monthly earnings, up to a The spouse’s survivor pension ceases on remarriage. maximum. Survivors are eligible to receive only one survivor pension. Government: 25% of total contributions collected by the Social Security Institution. Survivor settlement: Paid if the deceased was not eligible for an old-age or disability pension and was insured for less Qualifying Conditions than five years with 900 days of contributions (1,800 days for civil servants and self-employed persons). Old-age pension: Age 60 (men) or age 58 (women) with at least 7,200 days of contributions (9,000 days for civil ser- The survivor pension and survivor settlement may be par- vants and self-employed persons). The retirement age will tially payable abroad under bilateral agreement. rise gradually to age 65 (men and women) by 2046 (men) Funeral grant: Paid to the family on the death of an old-age and 2048 (women). pensioner or disability pensioner. Special conditions if first insured before October 1, 2008; if aged 50 or older and prematurely aged (and therefore unable Old-Age Benefits to work until the full pensionable age); and for miners. Old-age pension: A pension is paid based on 2% of At any age with a disability that began before starting the insured’s last salary and the coverage period, up to a insured employment and at least 15 years of coverage maximum. including at least 3,600 days of paid contributions, accord- A special calculation applies if first insured before Octo- ing to the assessed degree of disability. ber 1, 2008.
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Benefit adjustment: Benefits are adjusted in January and Sickness and Maternity July of each year according to changes in the consumer price index. Regulatory Framework Old-age settlement: A lump sum is paid. First laws: 1945 (maternity) and 1950 (sickness). Permanent Disability Benefits Current laws: 1964 (social insurance), implemented in 1965; 1983 (agricultural employee social insurance), imple- Disability pension: A pension is paid based on 2% of mented in 1984; 2006 (social security institution); 2006 the insured’s last salary and the coverage period, up to a (social security and general health insurance), implemented maximum. in 2007 and 2008; and 2008 (social security). A special calculation applies if first insured before Octo- Type of program: Social insurance (cash benefits) and ber 1, 2008. universal (medical benefits) system. Constant-attendance allowance: 100% of the pension is Note: In 2007, a new universal sickness insurance program paid. was established to provide a safety net. Benefit adjustment: Benefits are adjusted in January and July of each year according to changes in the consumer Coverage price index. Cash and medical benefits: Employees working under Survivor Benefits a service contract in the public or private sectors and their dependent family members, including self-employed Survivor pension: 50% of the pension the deceased persons. The spouse of an insured man is eligible for the received or was eligible to receive is paid to a widow(er); nursing benefit. 75% to a widow(er) who does not have children and is not Medical benefits only: All citizens of Turkey; homeless working or receiving a pension. people and refugees; foreigners with a residence permit of Orphan’s pension: 25% of the pension the deceased at least one year; and foreign students. received or was eligible to receive is paid to each eligible Voluntary coverage is available. orphan (50% for a full orphan). Special systems for civil servants. Other eligible survivors: 25% of the pension the deceased received or was eligible to receive is paid to dependent Source of Funds parents. Insured person All survivor benefits combined must not exceed 100% of the pension the deceased received or was eligible to receive. Cash sickness and maternity benefits: None. Dependent parents older than age 65 may receive 25% of Medical benefits: 5% of declared monthly earnings, up to a the deceased’s pension even if all survivor benefits com- maximum. bined exceed 100% of the deceased’s pension. Self-employed person A special calculation applies if first insured before Octo- Cash sickness and maternity benefits: 1% to 6.5% of ber 1, 2008. declared monthly earnings, up to a maximum. A minimum pension is paid. The self-employed person’s contributions also finance work Survivor settlement: A lump sum is split among survivors injury, according to the degree of risk. according to a schedule. Medical benefits: 12.5% of declared monthly earnings, up to Funeral grant: A lump sum is paid. a maximum. Benefit adjustment: Benefits are adjusted in January and Employer July of each year according to changes in the consumer Cash sickness and maternity benefits: 1% to 6.5% of price index. monthly payroll, up to a maximum. Administrative Organization The employer’s contributions also finance work injury, according to the degree of risk. Ministry of Labor and Social Security (http://www.csgb .gov.tr) provides general supervision. Medical benefits: 7.5% of monthly payroll, up to a Social Security Institution (http://www.sgk.gov.tr) managed maximum. by a general assembly, board of directors, and president, administers the program.
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Government Administrative Organization Cash sickness and maternity benefits: Contributes as an Ministry of Labor and Social Security (http://www.csgb employer. .gov.tr) provides general supervision. Medical benefits: 25% of total contributions collected by Social Security Institution (http://www.sgk.gov.tr) admin- the Social Security Institution; the cost of contributions for isters cash benefits through its branch offices. Medical vulnerable groups. care and medicine are provided through agreements with hospitals and pharmacies. Qualifying Conditions Work Injury Cash sickness benefits: Must have at least 90 days of contributions in the year before the diagnosis of illness. Regulatory Framework Cash maternity benefits First law: 1945 (industrial accidents). Incapacity for work benefit: Must have at least 90 days of Current laws: contributions in the year before childbirth. 1964 (social insurance), implemented in 1965; 1983 (agricultural employee social insurance), imple- Nursing benefit: Must have at least 120 days of contribu- mented in 1984; 2006 (social security institution); 2006 tions in the year before childbirth. (social security and general health insurance), implemented Medical benefits: Must have at least 30 days of contribu- in 2007 and 2008; and 2008 (social security). tions (60 days for the self-employed) in the year before the Type of program: Social insurance system. illness or accident. Coverage continues for 10 days fol- lowing termination of employment; for 90 days if at least Coverage 90 days of contributions in the year before the illness or Employees working under a service contract in the public accident. or private sector; applicants for apprenticeships, appren- tices, and students; and prisoners working in prison Sickness and Maternity Benefits workshops. Sickness benefit: 50% of daily earnings is paid for inpa- Exclusions: Part-time household workers. tient treatment; 66% of daily earnings for outpatient treat- ment. The benefit is paid after a two-day waiting period. Special systems for civil servants. Benefit adjustment: The minimum and maximum daily Source of Funds covered earnings used to calculate sickness benefits are adjusted according to changes in the minimum wage. Insured person: See source of funds under Sickness and Maternity. Maternity benefits Self-employed person: See source of funds under Sick- Incapacity for work: 66% of earnings is paid for up to eight ness and Maternity. weeks before and eight weeks after the expected date of childbirth; extended for two weeks for multiple births. Employer: See source of funds under Sickness and Maternity. Nursing grant: A lump sum is paid for a live birth. Government: See source of funds under Sickness and Benefit adjustment: The minimum and maximum daily Maternity; the cost of contributions for apprentices and covered earnings used to calculate maternity benefits are students in technical schools. adjusted according to changes in the minimum wage.
Workers’ Medical Benefits Qualifying Conditions Health care facilities under an agreement with the Social Work injury benefits: There is no minimum qualifying Security Institution provide medical services to patients. period. Cost sharing: A copayment may be required for prescrip- Temporary Disability Benefits tion drugs. 66% of daily earnings is paid from the first day of incapac- Dependents’ Medical Benefits ity; 50% of daily earnings if hospitalized. Medical benefits for dependents are the same as those for Benefit adjustment: The minimum and maximum daily the insured. covered earnings used to calculate benefits are adjusted according to changes in the minimum wage.
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Permanent Disability Benefits Benefit adjustment: Survivor benefits are adjusted in January and July of each year according to changes in the Permanent disability pension: A pension based on the consumer price index. insured’s annual covered earnings is paid for a total dis- ability (100% loss of earning capacity as a result of a work Administrative Organization accident or an occupational disease). Ministry of Labor and Social Security (http://www.csgb Partial disability: For an assessed degree of disability of at .gov.tr) provides general supervision. least 10%, a percentage of the full pension is paid accord- ing to the assessed degree of disability. Persons with an Social Security Institution (http://www.sgk.gov.tr) admin- assessed degree of disability of 10% to 24% may choose a isters the program through its branch offices and health lump sum instead of a pension. facilities. For an assessed degree of disability of at least 25%, the minimum pension must be at least 70% of the minimum Unemployment earnings used to calculate contributions and benefits. Regulatory Framework There is no maximum pension. First and current laws: 1999 (unemployment insurance), Constant-attendance allowance: 100% of the pension is implemented in 2000; 2006 (social security institution); paid. 2006 (social security and general health insurance), imple- Benefit adjustment: Benefits are adjusted in January and mented in 2007 and 2008; and 2008 (social security). July of each year according to changes in the consumer price index. Type of program: Social insurance system.
Workers’ Medical Benefits Coverage Benefits include medical treatment, including preventive Employees (including foreign nationals) aged 18 or older care; laboratory services, surgery, and hospitalization; working under a service contract in the public or private vision, hearing, and dental care; assisted reproductive sector and certain other specified groups. services; transplants; transportation; and a daily allowance Exclusions: Civil servants, workers in agriculture and for- and expenses for an accompanying person when seeking estry, household workers, military personnel, students, and care abroad. self-employed persons. There is no limit to duration. Source of Funds Survivor Benefits Insured person: 1% of monthly earnings, up to a Survivor pension: The minimum monthly pension for maximum. one survivor is 80% (90% for two survivors) of 35% of Self-employed person: Not applicable. the minimum earnings used to calculate contributions and benefits. Employer: 2% of monthly payroll. There is no maximum pension. Government: 1% of monthly earnings, up to a maximum. Eligible dependents include a spouse (the spouse’s survi- Qualifying Conditions vor pension ceases on remarriage); children younger than age 18 (age 20 if a pre-university student, age 25 if a uni- Unemployment benefit: Must have at least 600 days of versity student); a son aged 18 or older who is disabled and contributions in the three years before unemployment, unemployed; an unmarried, widowed, or divorced daughter including the last 120 days of employment. of any age who is without insured employment and is not receiving any social security benefits in her own right; and Unemployment Benefits dependent parents. Unemployment benefits: The minimum daily benefit If the total survivor pension awarded to the spouse and chil- is 50% of average daily earnings, based on the last four dren is less than 70% of the insured’s annual earnings, the months of earnings. The benefit is paid for 180 days to an difference is paid to a dependent father and mother; if the insured worker with at least 600 days of contributions; total survivor pension awarded to the spouse and children is for 240 days with at least 900 days of contributions; and 70% or more of the insured’s annual earnings, no pension is 300 days with at least 1,080 days of contributions. paid to a dependent father and mother. The monthly benefit must not be higher than the minimum Funeral grant: A lump sum is paid to the family on the wage for the industry in which the insured worked. death of the insured worker. A worker may receive unemployment benefits at the same time as sickness and maternity benefits.
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Administrative Organization Ministry of Labor and Social Security (http://www.csgb .gov.tr) provides general supervision. Social Security Institution (http://www.sgk.gov.tr) collects contributions. Employment Agency (http://www.iskur.gov.tr) administers the program.
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